What's a good rule of thumb for $$ in Savings Account?

[Analog]

Wondering how much cash one should have in the savings account... Any rules of thumb on this?

 

[Aceshigh]

6 months of expenses should you lose your job or have some kind of emergency come up.

 

[JeffreyLebowski]

whatever you can afford to put in and still be able to pay bills

 

[MacGaven]

No rules of thumb for a savings account.

I would at least have $500 to begin with in a savings account but of course this depends on your income level. If you're just starting out like in middle school then keep building up and saving.

 

[Analog]

Originally posted by: Aceshigh
6 months of expenses should you lose your job or have some kind of emergency come up.

Ouch! Does that include all the 'hot deals' I get from here?

 

[kranky]

Originally posted by: Aceshigh
6 months of expenses should you lose your job or have some kind of emergency come up.

Ideally, yes. At least three months for sure.

 

[imported_Tomato]

Wow.

I only have $300 in mine right now.

 

[brtspears2]

Originally posted by: Dezign
Wow.

I only have $300 in mine right now.

Hmm, same boat as me. I would guess thats the min deposit too.

 

[pyonir]

Originally posted by: Dezign
Wow.

I only have $300 in mine right now.

wow...i only have like $0 in mine right now.

 

[AU Tiger]

Rule of thumb is three-six months. I unfortunately have only a month and a half in savings.

 

[RossMAN]

At least 3 months but 6 months is preferred.

 

[SWScorch]

Bleargh! I only have like $300 in my acct. But I guess that adds up to about 6 months, since all I need it for is gas. (and repaying my damn student loans when the time is nigh)

 

[malbojah]

Jeez, I must be the rich one in town with about $1500 in my account

EDIT: $1634.79

 

[Storm]

Frankly Im saving for at least a year. It took me about 9 months to find a job after college so Im being extra prepared.

Just as important, dont take out any of the money in your savings account to spend on frivolous items.

 

[neovan]

<-- saving up for a house

but the rule is to save at least 3 months for emergencies.

 

[Argo]

Wow, you guys really don't save much money. I have around 10k in my savings and I used to think that I wasn't saving enough.

 

[rahvin]

You should make this a poll:

My rule of thumb is 6 months of income (not expenses). If you tighten your belt up you can usually survive 9 months on that without going into debt. It is not atypical to end up unemployed for up to a year if the job market you occupy takes a real nose dive.

 

[spidey07]

Yep, 6 months of expenses is ideal. Bare minium is three months.

This includes everything it takes to live like roof over your head, car, insurance, basic necessities, food, gas.

 

[Torghn]

Originally posted by: Argo
Wow, you guys really don't save much money. I have around 10k in my savings and I used to think that I wasn't saving enough.

I wouldn't keep 10K in my savings account, I'd through it in some kind of investmant. Doesn't have to be risky, anything is better than the tiny amount of intrest a savings account produces.

 

[Argo]

Originally posted by: Torghn

Originally posted by: Argo
Wow, you guys really don't save much money. I have around 10k in my savings and I used to think that I wasn't saving enough.

I wouldn't keep 10K in my savings account, I'd through it in some kind of investmant. Doesn't have to be risky, anything is better than the tiny amount of intrest a savings account produces.

The problem with investments is that it's usually hard to get your money on days notice, in case an emergency comes up.

 

[Wolverine27]

Originally posted by: spidey07
Yep, 6 months of expenses is ideal. Bare minium is three months.

This includes everything it takes to live like roof over your head, car, insurance, basic necessities, food, gas.

What spidey said

 

[TheNinja]

I hear you all say what the minimum you should have is (6 months expenses) but on the other hand, is $30 grand too much to have between my checking and savings? Would it be better to invest?

 

3-6 months of expenses, is a good emergency account.
Although, a SAVINGS account, should get 10% of every paycheck you get.

 

[DaveSimmons]

Originally posted by: Staley8
I hear you all say what the minimum you should have is (6 months expenses) but on the other hand, is $30 grand too much to have between my checking and savings? Would it be better to invest?

Hopefully you have the money in "high" interest savings with ING or eTradeBank not the 1% or less many banks pay. In your case I might shift some of the money (up to $10K) into a good CD (probably ING or eTrade again) to get that big over-2% rate. Eventually you could have 2, 1-year CDs with the renewals staggered 6 months apart.

 

[cyclistca]

I keep enough in my account to cover two months worth of expenses. I then have another 4 months worth in a money market mutual fund.